Jennifer, There's a higher cost to a company if the volume shipment is low and I can expect that such a manufacturer would try to find ways to increase its margins. This is applicable in the military/aero market where there are fewer potential customers and a product can be designed for a buyer only if they agree to pay a higher premium. This is a problem that can be resolved through a strong partnership but again, cost is an issue.
Sometimes component manufacturers resolve the problem of differing environmental specs not by two production lines or methods, but by sorting the product through testing, either in-house or by using the services of a screening house.
I agree with you. From my understanding of most military and aerospace products, they are built and designed with different specs and limitations. If these are designed for the military, how does the sale of the lesser grade commercial parts affect supply of the military/aerospace parts? It does seem like this is maybe a ploy to make more money on the low volume sales.
I agree with the sentiment of this article but as a semicon supplier it is sometimes just not viable to maintain the older silicon fabs that are required to produce the older parts. I suppose if we worked hand in glove with the military customer we could proactively design new products to replace the older ones but the military is notorious for now wanting to requalify their products. It can also be prohibitively expensive to follow this strategy. I would welcome a stronger relationship to avoid "last time buys" but so far we have not been able to achieve this.
The components used in Military/Aero applications are different in terms of the temperature range/ radiation immunity, vibration and such other factors. Hence the manufacturers have to set up separate production lines for them anyway. So how can they be linked to the commercial grade component volumes?
The manufacturing of the military/Aero grade components will always be a low volume one, right from the inception of these components. The manufacturers producing such components are very well aware of their low volume, long life cycle requirement.
So I do not understand how these components also vanish alongwith the commercial grade components.
Are we mixing the two issues? Or is it that the manufacturers are using the commercial obsolesance ploy to hide away these military grade components, create scarcity and jack up their prices?
Joseph, selection of components for the military and aerospace application is a very cumbersome process and atmost care have to beeen taken care. In such industries Quality of the components are one of the main factor and all the components have to undergo various types of tastings and standards. Vibration test, Radiation test, Thermal tests are some of the important tests, where the performance of each components are to be monitored. This is because most of the components are used for mission critical applications.
EBN Dialogue enables and encourages you to participate in live chats with notable leaders and luminaries. Not only editors and journalists, but the entire EBN community is able to comment and ask questions. Listed below are upcoming and archived chats.
Archived Dialogues
Thailand Stages a Comeback Join EBN contributor Jennifer Baljko on Thursday August 23, 2012, at 11:00 a.m. EST for a live chat on how electronic manufacturers in Thailand have shored up their supply chain to reduce the impact of future natural disasters.
Euro-Crisis: What It Means for High-Tech Firms Join EBN Editor in Chief Bolaji Ojo and Contributing Editor Jennifer Baljko on Thursday, July 12, at 10:00 a.m. EDT for a Live Chat on high-tech and Europe's economic difficulties.
Microsoft Surface: Potential Winners & Losers What are the implications for the electronics industry supply chain of Microsoft Corp.'s decision to launch its own tablet PC? Join industry veteran and EE Times' systems and OEM expert Rick Merritt on Tuesday, July 3, at 12:00 pm EDT for a Live Chat on this subject.
Join EBN contributor Jennifer Baljko on Thursday August 23, 2012, at 11:00 a.m. EST for a live chat on how electronic manufacturers in Thailand have shored up their supply chain to reduce the impact of future natural disasters.
Peter Drucker famously said "Trying to predict the future is like trying to drive down a country road at night with no lights while looking out the back window." Yet in the razor's-edge world of electronics—with a lean supply chain and just-in-time demands—the need to know the future is vital.
While no one really can accurately predict the future, we can take guidance from another Drucker saying which is the best way to predict the future is to create it.
You've heard the saying "the No. 1 supply chain risk is your people." That hasn't always been the case. But today's complex global supply chain requires a new type of multitalented employee. It's one who understands, finance, marketing, economics, is savvy with technology, graceful with relationships and can think analytically.
Where are these people? Are universities properly preparing the next generation supply chain professionals? How do train your existing workforce for these new, demanding positions?
Brian Fuller, editor-in-chief of EBN, will lead a 60-minute Avnet Velocity panel discussion that will ask and answer these and other questions swirling around today's supply-chain talent challenges.
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